1 Based on a fully diluted basis of 1,931,535,376 and 1,940,233,827 shares respectively

Singapore/Hong Kong – Yanlord Land Group Limitedannounced its results for the period of January to March 2018 (“1Q 2018”).

Underlined by the higher average selling price (“ASP”) achieved during the period, revenue in 1Q 2018 rose 13.7% to RMB7.188 billion from RMB6.321 billion in 1Q 2017. Grounded in the revenue growth, gross profit margin expanded to 55.7% in 1Q 2018 from 49.5% in 1Q 2017. Consequently, gross profit rose 28.1% to RMB4.004 billion in 1Q 2018 from RMB3.126 billion in 1Q 2017, led by the higher priced projects, Yanlord on The Park (仁恒世纪公寓) and Yanlord Western Gardens (仁恒西郊雅苑) in Shanghai, which accounted for approximately 74.3% and 13.7% respectively to the Group’s gross revenue on sales of properties in 1Q 2018. ASP in 1Q 2018 rose 109.1% to RMB80,172 per sqm compared to that of 1Q 2017. Profit for the period similarly rose 22.4% to RMB1.796 billion in 1Q 2018 from RMB1.468 billion in 1Q 2017. Profit attributable to owners of the Company declined 14.7% to RMB797 million in-line with the greater profit recognition from projects which have a larger attributable portion of non-controlling interest.

The Group continues to witness healthy buyer interest for its high-quality developments. Accumulated pre-sales pending recognition as at 31 March 2018 was RMB18.197 billion and will be progressively recognised as revenue in subsequent financial periods. As at 31 March 2018, the Group has received RMB16.602 billion as advances for pre-sales of properties.

Attributable to the Group’s prudent financial policies, Yanlord remains in a healthy financial position. The Group’s cash and cash equivalent balance was RMB16.235 billion as at 31 March 2018, while net debt to total equity ratio of 52.9% provides the Group with the necessary foundations to drive its future development.

Moving forward, the Group will continue to launch a new project and new batches of existing projects in 2Q 2018 namely, Oasis New Island Gardens (Phase 2) (绿洲新岛花园二期) and Yanlord Taoyuan Gardens (桃园世纪华庭) in Nanjing, Yanlord on the Park (仁恒世纪公寓) and Yanlord Western Gardens (仁恒西郊雅苑) in Shanghai, Tang Yue Bay Gardens (棠悦湾花园) and Riverbay Gardens (江湾雅园) in Suzhou, Tianjin Hong Qiao Land (Phase 1) (红咸雅苑一期) in Tianjin as well as Yanlord Marina Peninsula Gardens (Phase 2) (仁恒滨海半岛花园二期) in Zhuhai.

Yanlord continues to explore new avenues to augment its revenue streams. In March 2018, the Group entered into a strategic collaboration with state owned Shanghai Pudong Development Group Limited (上海浦东开发(集团)有限公司) to oversee the project management of approximately 1,740 rental housing units in Shanghai. Through this collaboration, Yanlord will develop a new asset light business segment that leverages off its core competencies in project management and property management to further enhance revenue streams and will gain a foothold for future opportunities within the state supported and rapidly expanding rental housing market in China.

Subsequent to the end of the period, the Group announced its grand homecoming to Singapore with the successful joint bid for the freehold Tulip Garden development for S$906.9 million. Ideally located within Singapore’s prime District 10 address, Tulip Garden lies a stone-throw from the chic Holland Village enclave and could potentially yield up to 670 prime residential units. Minutes away from the Farrer Road MRT station and with excellent connectivity via the Farrer Road thoroughfare, future residents will have seamless access to the area’s comprehensive suite of lifestyle, healthcare and education amenities.

Commenting on the Group’s financial performance, Mr. Zhong Sheng Jian, Yanlord Chairman and Chief Executive Officer, said, “Demand for prime residential developments in the PRC continues to be healthy driven by continued upgrader demand and population inflow into first and core second tier cities. While near term volatilities may arise due to the introduction of austerity measures, our quality developments continue to attract the attention of home buyers. At the same time, to better cater to the government supported and rapidly expanding rental housing market in China, we entered into a strategic collaboration to better capture market opportunities and further enhance revenues from project management. Capitalising on our strong brand equity and momentum achieved in 2017, we remain confident about Yanlord’s continued performance as well as the long-term potential of the PRC real estate sector.”

“The acquisition of Tulip Garden marks our maiden entry into Singapore’s residential market and will offer chic urbanites a rare opportunity to own a home in one of Singapore’s most sought after and vibrant addresses. This freehold site has strong potential for development and leveraging on our development capabilities as well as that of our partner, we hope to develop this land parcel into a new landmark development,” added Mr Zhong.